Thousands of Workers Face Layoffs as Sritex Ceases Operations

7 hours ago 12

February 28, 2025 | 07:43 am

TEMPO.CO, Sukoharjo - The employees of PT Sri Rejeki Isman Tbk Sritex, will stop working starting March 1, 2025, confirmed Head of the Department of Industry and Labor of Sukoharjo Regency, Sumarno. The workers are continuing their duties until Thursday, February 28, 2025.

"There will be Layoffs and it was decided on February 26," said Sumarno in Sukoharjo, Central Java, on Thursday, February 27, 2025, as reported by Antara.

He explained that the Department of Industry and Labor (Disnaker) has provided information from the beginning regarding the employees' rights, including old-age insurance, job loss security, and severance pay. "As for old-age insurance, job loss security, and pensions, they are covered by BPJS Ketenagakerjaan, God willing, it is secure," he said.

Sumarno stated that Sritex has been consistently paying employee premiums. "It's only February that hasn't been registered."

Earlier, employees began completing termination letters following the bankruptcy decision from the Commercial Court of Semarang. This information was shared by the Chair of the All-Indonesia Workers Union (SPSI) of PT Sritex, Widada. "Some have started filling it out. If they're terminated, there will be a letter," he said.

The employees are also fulfilling the requirements to withdraw their old-age insurance (JHT). "So the JHT can be withdrawn soon," he said. The total number of Sritex workers and employees is 6,660 people.

The completion of termination letters is necessary to process job loss security. "Employees have received termination letters to get job loss security, severance pay also needs to be documented. But this is not yet completed," he said.

Furthermore, Widada expressed his hope that the company will fulfill its obligation to pay employees this month on time. "Usually, it's delayed, it was delayed for eight days. The delay was for February salaries, but it was paid later," he said. "Hopefully, the salaries for next month will not be late again. The delay in employee salaries' payment will cause trouble, because they need to pay debts and installments."

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